T Accounts, Journal Entry and Trial Balance Exercise

by Jane
(Philippines)

Q: Juan de la Cruz began professional practice as a system analyst on July 1. He plans to prepare a monthly financial statement. During July, the owner completed these transactions (PHP = Philippine Peso, currency of Philippines):

July 1. Owner invested PHp 500,000 cash along with computer equipment that had a market value of php. 120,000 two years ago but was now worth Php. 100,000 only.July 2. Paid php. 15,000 cash for the rent of office space for the month.July 4. Purchased php. 12,000 of additional equipment on credit (due within 30 days).July 8. Completed awork for a client and immediately collected the php. 32,000 cash.July 10. Completed work for a client and sent a bill for php. 27,000 to be paid within 30 days.July 12. Purchased additional equipment for php. 8,000 in cash.July 15. Paid an assistant php. 6,200 cash as wages for 15 days.July 18. Collected php. 15,000 on the amount owed by the client.July 25. Paid php. 12,000 cash to settle the liability on the equipment purchased.July 28. Owner withdrew php. 500 cash for personal use.July 30. Completed work for another client who paid only php. 40,000 for 50% of the system design.July 31. Paid salary of assistant php. 700.July 31. Received PLDT bill, php. 1,800 and Meralco bill php. 3,800.

Required:Prepare the journal entries, T accounts and trial balance for this business.

Comments for T Accounts, Journal Entry and Trial Balance Exercise

I really don't know if this journal entries as what you presented as example is applicable to the Philippines. Specifically the entries like debit debtors credit cash? or credit creditors debit cash? You know what I mean? This samples that you have is not that typical source that we can rely on for our studies. Especially we are accounting major.

How would I know Miss Jane if my answers are really correct. Please show here the solutions, I really need your help. I am currently on a self-study mode in preparation for our upcoming exams and now, my chances are at luck. Hopefully you could help me and some other students that need your help. Thank you and God bless!